34 Human Resource Executive®WHITEPAPERS

WORDS OF AUTHORITYEnding the Debate: WellnessROI and VOI Both CountJeff Brizzolara, Chief Clinical Officer, ViveraeWith wellness-provider newcomers continually entering the industry, it canbe hard for employers to navigatethe saturated marketplace and itstrending tides—especially when newmeasurements of success and bestpractices are often promoted, yetoften misguided.All Eggs in the VOI Basket

The wellness industry is complex,
and determining success can be
unclear and undefined for employers.
In recent years, the measurement
of success has shifted focus from
return on investment to value on
investment—leaving employers
grappling with the choice: Is a focus
on value better than ROI?

“Similar to other employeebenefits, effective wellness programsshould provide both tangible andintangible success factors,” says MikeLamb, president and CEO at Viverae,a workplace wellness technologycompany. “An emphasis on VOIshouldn’t be discounted, as a focuson total well-being is always a smartone. But if health outcomes aren’timproving, focusing on VOI alone isIf a company isn’t getting thereturn on a wellness program, a focuson VOI can seem like an appealingcalculation of success. But VOI shouldnever be the sole focus of a wellnessprogram. This is where the wellnessindustry has failed employers in recentyears. A comprehensive approachto wellness is vital—meaningyou’re addressing, improving andcontrolling health factors in employeepopulations—because it’s the onlyway to effect change, address costsand provide a total population healthsolution.

Biggest Missed Opportunity

To get back to the importanceof ROI, employers should beginby addressing chronic diseases, asresearch dictates. The Centers forDisease Control and Preventionreports chronic diseases areresponsible for seven of 10 deathseach year, as well as 86 percent ofjournal report “USSpending on PersonalHealth Care and PublicHealth, 1996-2013,”published in JAMAon Dec. 27, 2016,estimates diabetesand ischemic heartdisease accounted forthe highest healthcarespending in 2013.

These diseases—
many of which are
preventable—cost
employers millions
of dollars each year
in insurance claims,
absenteeism and
reduced productivity.
Employers who fail to
offer disease or chronic-condition management
as part of their comprehensive
wellness program are missing the
biggest opportunity in wellness to
help employees who need it most.

Disease Management and TotalWell-Being

The importance of identifying
at-risk members as early as
possible—through the collection of
biometric screening data and health
assessments—and considering
the major contributors to chronic
conditions should be stressed.
Through a more comprehensive
approach, employees with primary
chronic conditions can be identified
and coached before they develop a
secondary and often more serious
chronic condition. This allows a
deeper dive into the areas that are
driving the most costs and affecting
your ROI.

A wellness provider or insurancecarrier can facilitate a disease-management program, but insurancecarriers can have drawbacks. Theyoften outsource the service to analternative specialized company,inserting another disjointed voiceinto the conversation. With limitedinformation in insurance claims,insurance carriers typically onlymanage sickness, rather thanpromoting total well-being andfocusing on health coaching, whichbenefits individuals at all levels ofrisk—even those who are relativelyhealthy.

Balancing Culture and Care

Viverae is rooted in care, but also
offers the fun aspects of wellness that
are equally important. This founding
principle of culture and care has
garnered positive results when total
employee populations are engaged
through disease management and
health coaching. When utilizing this
comprehensive approach, Viverae
clients experienced a greater than 3:1
ROI, and a three-year client cohort
had annual cost savings of $724.04
per participant.

“CFOs will never lose interest
in ROI, and in a maturing wellness
landscape, the industry has to take
this seriously,” says Lamb. “No
matter how fun a program is, or how
technologically advanced, you can’t
get away from the human touch:
health coaching and managing
chronic conditions. Chronic conditions
are negatively affecting your
population’s health and your bottom
line. We believe it’s imperative to
utilize a compliant chronic-disease-management program to reduce
healthcare costs. The result? A
more productive workforce and that
combination of ROI and VOI you’ve
been chasing.”